Splunk Inc (NASDAQ:SPLK) is trading higher Thursday after the company reported better-than-expected financial results and issued guidance above estimates.
Splunk said fourth-quarter revenue increased 21% year-over-year to $901 million, which beat the $777.28 million estimate. The company reported quarterly adjusted earnings of 66 cents per share.
“We reached a significant milestone as we surpassed $3 billion in total ARR last year, with cloud revenue growing 70%,” said CFO Jason Child.
“The impact of our business transformation on our financials is normalizing, and we’re well positioned for strong growth in revenue and cash flow.”
Splunk expects first-quarter revenue to be between $615 million and $635 million versus the $609.8 million estimate. Fiscal-year 2023 revenue is expected to be between $3.25 billion and $3.3 billion versus the $3.01 billion estimate.
Splunk also named Gary Steele CEO, effective April 11
Splunk is a cloud-first software company that focuses on analyzing machine data.
Splunk has traded between $105.45 and $176.66 over a 52-week period.
SPLK shares vaulted $8.65, or 7.5%, to $123.57.